The effect of green supply chain practices on firm sustainability performance: Evidence from Pakistan

Abstract

Environmental issues are most important among the current global concerns, and business activities are seen as a cause of significant threat to the environment due to environmentally non-friendly practices by various industries that cause pollution. However, the implementation of green supply chain management (GSCM) practices in developing countries like Pakistan is still inconclusive. The purpose of this paper is to investigate the impact of GSCM dimensions on economic, environmental, and social performance. The five dimensions covered in this research are green purchasing, green manufacturing and remanufacturing, environmental education, internal environmental management, and investment recovery. A survey questionnaire was prepared that consists of green practices as well as a performance indicator. Factor analysis maximum likelihood method was used to examine the survey data of Pakistani organizations. The results of this study indicate that GSCM practices have a positive impact on environmental, economic, and social performance. This research shows organizations are aware of improving their performance while adopting green supply chain practices.